From LA to London, Luxury Real Estate Adds Value with Art

A living room in the Park Crescent development in London

The Wall Street Journal’s new real estate vertical, Mansion Global, has a detailed look at the international convergence of art and luxury real estate. Beginning with Charles Park’s $44m LA spec house stocked with $6m in art and moving to London’s Park Crescent development which debuted during Frieze with six elaborately staged units featuring art throughout the homes.

Although some of the art stagers quoted in the story insist they’re more than home stagers, what’s important to us here is the way that art becomes not only a signifier of luxury to make the sale but also a pre-packaged way to add value to a real estate transaction.

Here’s how Mansion global sees it:

It’s an effort to add to a sense of atmosphere that might fail for otherwise feeling sterile or incomplete, said Aaron Kirman, the listing agent for the California property and president of Aroe Estates, the luxury property division of John Aroe Group. Mr. Kirman said he used to turn to art only for properties priced at $30 million-plus but now does so for the majority of his listings, anything for $5 million or more.

“Art adds an extra layer of je ne sais quoi,” he said. “Buyers don’t even realize what it is that makes a house pop, but a good house with good furniture and good art really sets the tone for what feels like fine living. It adds exclusivity and interestingness that makes a house feel more special.”

He emphasized: “Rich people know what it feels like to be rich, and usually that includes fine art.”